A class ceiling persists in organizations: People from a lower social class are often paid less than those from a higher social class, despite having comparable credentials. In this research, we argue that one factor contributing to this class ceiling is class differences in the propensity to negotiate. Specifically, we posit that lower-class individuals are less inclined to initiate negotiations than their higher-class counterparts, a tendency associated with adverse economic outcomes. We provide empirical support (total N = 11,344) for this hypothesis through field data from a nationally representative sample of employees (Study 1) and an MBA student sample (Study 2), a field study of an online labor market (Study 3), and a survey about workplace negotiation (Study 4). We find that this class gap in negotiation propensity is explained by differences in sense of power and concerns about social backlash. A final experiment among HR professionals in charge of recruiting and hiring shows that the concerns of lower-class individuals reflect realistic perceptions of differential treatment (Study 5): Negotiation incurs a greater social backlash for lower-class than higher-class individuals. We discuss implications for future research connecting social class and negotiation and for organizational efforts to address class disparities.
